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UK Q4 GDP revised higher, Current account deficit hits record high

10:46 31 March /2016 Forex

The UK Office for National Statistics (ONS) revised Q4 GDP higher largely on the back of an upward revision in the construction sector in December 2015.

GDP was revised to +0.6% q/q and 2.1% y/y in the period, up from the second estimate of 0.5% and 1.9% respectively.

Key points

UK Q4 current-account deficit printed at 7% of GDP, most on record.

Real household disposable income fell in the quarter, down 0.6%.

The quarterly household savings ratio also fell, standing at 3.8% vs 4.8% in Q3.

The annual savings rate for 2015 was 4.2%, with both the Q4 and 2015 levels the lowest ratios since records began in 1963.

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